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Level 1

How do I add a discount to an invoice?

2 Comments 2
QuickBooks Team

How do I add a discount to an invoice?

Hi there, @root13.


Welcome to the Community. I'd be happy to walk you through with adding a discount on an invoice in QuickBooks Online. 

You'll need to use a discount line item if you need to apply a discount to one or more items on the invoice. You should create a discount item first before applying it on the invoice.


Let me guide you how:

  1. Select the Gear icon at the top,
  2. Under Lists, select Products and Services.
  3. At the top right, select New.
  4. Select Non-inventory or Service for Products/Services type, then complete the information needed.
    • In the Name field, enter Discount. If you plan to create multiple discount percentages, you can enter Discount and amount for the name (Example: $2 Discount).
    • In the Sales price/rate field, enter the discount amount as a negative.
    • From the Income account drop-down, select Discounts given account.
    • Make sure the Is Taxable is not checked.
  5. Select Save and close.

Once done, use the Discount item on an invoice/sales receipt.

  1. Select the Plus (+) icon at the top.
  2. Under Customers, select Invoice (or Sales Receipt).
  3. Select the customer.
  4. Add the product and services.
  5. Enter the Discount item (created in step 1).
  6. Select Save.

For more details about this process, please refer to this article: Discount as line item on invoices and sales receipts.


However, if you need additional assistance with the process, feel free to reach out to our Customer Care Team. 

  1. Sign in to your QuickBooks Online company.
  2. Select Help (question mark icon) at the top right.
  3. Select Contact us to connect with a live support agent.
  4. Enter the concern.
  5. Click on the Green Phone button to get the phone number.

These should guide you in adding a discount to an invoice.


Please know that I'm just a reply away if there's anything else you need. Wishing you and your business continued success!

Level 15

How do I add a discount to an invoice?



The instructions provided by @BettyJaneB are incomplete, so to complete them


the bullet where it says, Make sure the Is Taxable is not checked.

this is not true everywhere, it depends on your state, if sales tax is calculated after discounts are applied then mark the discount line taxable


When you  use the discount line item, be sure to enter the qty as a negative one (-1) and then enter the amount of the discount - that is the only way to make it work to lower the amount due.


QBO does not do percentage line item discounts the way desktop does, to get a percentage line item discount requires a work around

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